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AIAC Releases Aerospace Recommendations and Calls on Federal Government to Implement Long-Term Sectoral Strategy

The Aerospace Industries Association of Canada (AIAC) today released six key recommendations that build on the Vision 2025 plan; while repeating the call for the federal government to recognize aerospace as a strategic sector in urgent need of a long-term sectoral strategy.

“The impact of COVID-19 on Canada’s aerospace industry has been unprecedented. The consequences of aircraft being grounded cascade down to our industry – to original equipment manufacturers (OEMs), maintenance, repair and overhaul workers (MRO) and ongoing work relating to Canada’s assets in space. With longer lead times in supply chain slowdowns, the devastating economic effects of this crisis are going to reverberate across our industry for years to come,” said Mike Mueller, Senior Vice President, AIAC.

“Competitor countries are making aerospace a key part of their economic recovery plans. Canada needs to take similar steps – not only to retain our current position but also to be ready for the global market opportunities that will emerge when the industry recovers,” said Mueller.

AIAC recommends the following actions the Government of Canada can take immediately to help ensure best possible outcomes and long-term stability for Canada’s aerospace sector:

1. Develop a pragmatic and proportional plan to allow people to begin flying again.

2. Adapt Canada’s job retention program and liquidity measures to support employees in industries that will take longer to recover.

3. Rapidly expand government support for green technologies to enable the decarbonization of key sectors, particularly transportation and aviation.

4. Establish a new long-term investment bank to support and foster essential manufacturing supply chains through the market transformation ahead.

5. Advance public procurement projects, particularly in defence and space projects, to help stimulate and sustain high-tech supply chains through the difficult months ahead.

6. Establish a Canadian sector strategy for aerospace that includes civil, defence and space.

“There is a need now, more than ever, for the Federal Government to work with us on a long-term sectoral strategy for Canada’s aerospace industry. Ensuring a strong Canadian aerospace sector will be crucial to rebuilding Canada’s economy given aerospace’s substantial contributions to our nation’s economic health on an annual basis – $31 billion in revenues, over $25 billion to GDP and nearly 215,000 jobs,” said Mueller.

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